Rahul Mehta Gandhinagar LsCandidate
Valid objections and Invalid objections against demonetization.
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IMO, only three valid damages are
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(L.1) gold import will increase because now criminals, tax evaders and corrupt will hoard wealth in gold
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(L.2) use of Rs 50 notes for hoarding will increase because now criminals, tax evaders and corrupt will hoard small notes
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(L.3) Foreigners will but tons of land in next 1 year and then sell at high prices and pay only 0% to 7% taxes
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(Same.1) corruption wont reduce -- but that isnt NEW damage. It is same as before.
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(Same.2) Tax evasion will NOT reduce --- but that isnt NEW damage. It is same as before.
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(Same.3) So rate at which new black money gets generated will remain same
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(S.1) too many short term SMALL losses - such as disruptions, waste of time --- but damage is below 3% GDP
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(S.2) some genuine small people lost a good forture - eg a family had come from rajsthan to a hospital in ahmedabad with Rs 200,000 of cash in Rs 500 notes right before note got cancelled,. Hospitals refused to take Rs 500 notes and cheques. They had to convert rs 500 notes into Rs 100 notes at 30% discount !!!
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(S,3) Use of unaccounted cash in real estate will come back to 50% level after 1 year --- but that isnt NEW damage. It is same as before.
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IMO, pls focus ONLY on (L.1) to (L.3) because other damages are short term or situation same as before. .
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Invalid objections
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(1) Did crorepati stood in queue?
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He had black cash. So of course he didnt stand in queue. Only those with white cash or small amount of black cash will stand in queue.. So pls dont go for this invalid objection
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(2) Congress lost its black money while BJP-apex had converted it black Rs 500 notes into gold or Rs 100 notes long back - where if one criminal kills another, would you cry injustice? So why bother how much did congress loose.
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(3) reliance had converted black money into Jio network
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Well, all businessmen need white and black to create business. If MA knew about note cancelling, then he would have bought gold and not bothered to create phone network. Creating phone network is their business as usual and nothing to do with cancelling notes
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So pls focus ONLY on valid objections and NOT in invalid objections.